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Autority power centralization1

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    Autority power centralization1 Autority power centralization1 Presentation Transcript

    • Line / Staff Authority , Empowerment & Decentralization
    • POWER
      • The ability of an individuals or groups to induced or influence the beliefs or actions of other persons or groups
    • AUTHORITY
      • The right in a position to exercise discretion in making decisions affecting others.
      • or
      • Its an Power in An Organization.
    • TYPES OF POWER
      • LEGIMATE POWER:-
      • Arises from the position .
      • EXPERTNESS POWER:-
      • Power of knowledge.
      • REFRENT POWER”-
      • Influence , people believe in them and in their ideas.
    • TYPES OF POWER
      • REWARD POWER:-
      • Power arises from the ability of some people to grant rewards.
      • COERCIEVE POWER:-
      • Closely related to reward power and normally arising from legitimate power , it’s the power to punish, whether firing a sub ordinate or else.
    • EMPOWERMENT
      • Employees at all the levels in the organization are given the power to make the decisions without asking their superiors for permission. ( accept responsiblities for their actions and tasks)
    • Empowerment
      • Power should be equal to Responsiblities i.e. P=R.
      • If P , is greater than Responsiblities .( my way superiority/ can be misuse or abuse of power).
      • If R, is greater than the Power , results in frustration bcos the person has not the necessary power to carryout their required tasks.
    • SCALAR PRINCIPLE
      • The clearer the line of authority from the ultimate management position in an enterprise to every subordinate position, the clearer will be the responsibility for decision making and more effective will be organization communication.
    • FORMS OF AUTHORITY
      • LINE AUTHORITY
      • STAFF AUTHORITY
      • FUNCTIONAL AUTHORITY
    • LINE AUTHORITY (KEY POINTS)
      • Line Authority is direct supervisory
      • authority from superior to subordinate
      • It flows in a direct chain of command
      • from the top of the company to the
      • bottom
    • LINE AUTHORITY (KEY POINTS)
      • It exists in all organizations as an
      • uninterrupted scale or series of steps
      • Supervisors -- in line departments,
      • such as marketing and production – give direct orders, evaluate performance, and reward or punish those employees who work for them
    • LINE AUTHORITY (KEY POINTS)
      • It creates a unity of command that
      • helps employees know to whom they
      • are accountable, and whom to go to with
      • a problem
    • LINE FUNCTION
      • Are those that have the direct impact on accomplishment of the objectives of the enterprise .
      • Decision making areas of an organization associated with its daily operations such as purchasing , manufacturing , and selling .
    •  
    • STAFF FUNCTION
      • Are those that help the line persons work most effectively in accomplishing the objectives.
      • Advisory , analysis , and support functions such as accounting , planning , transportation provided to production (line) employees .
    • STAFF AUTHORITY (KEY POINTS)
      • Staff Authority is more limited authority
      • to advise
      • Staff Supervisors help line departments
      • decide what to do and how to do it but
      • do not have the authority to make final
      • decisions
    • STAFF AUTHORITY (KEY POINTS)
      • They coordinate and provide technical assistance or advice to all advisors, such as accounting, human resources, information technology, research, advertising, public relations, and legal services etc
    •  
    • FUNCTIONAL AUTHORITY
      • F.A is the right that is delegated to an individual or a department to control specified processes, practices, policies, or other matters relating to activities undertaken by persons in other department.
    • DECENTRALIZATION
      • The tendency to despair decision making authority in an organized structure.
    • THE NATURE OF DECENTRALIZATION
      • Decentralization is the extent to which decision-making authority is pushed down the organization structure and shared with many lower-level employees
    • KINDS OF CENTRALIZATION
      • Centralization Of Performance:- geographically characterised , company opertaing in single location.
      • Departmental Centralization :- refers to concetration of specialised activities , maintenance for a whole plant may be carried out by single deparment.
    • KINDS OF CENTRALIZATION
      • Centralization as an aspect of management:- is the tendency ot restrict delegation of decision making . A high degree of authority is held at or near the top by managers in organizational hierarchy.
    • STEPS IN DELEGATING
    • How Authority is Delegated
      • Authority is delegated when a supervisors give subordinates discretion to make decisions. The process of delegation involves :-
      • Determining the results expected from the position.
      • Assigning task to the position.
      • Delegating authority for accomplishing these task.
      • Holding the person responsible for the accomplishment of the tasks.
    • How Authority is Delegated
      • In practice it is impossible to split this process since expecting a person to accomplish goals without giving authority to achieve them is unfair, as is delegating authority without knowing the end results for which its been used . Moreover , since the superior’s responsiblities cannot be delegated.
    • Art of Delegation
      • Personal attitude towards delegation.
      • Receptiveness
      • Willingness to let go.
      • Willingness to let others make mistakes.
      • Willingness to trust subordinates.
      • Willingness to establish and use broad controls.
    • PERSONAL ATTITUDES TOWARD DELEGATION
      • Receptiveness:
        • Delegation is most effective when Manager is receptive of ideas of the subordinates
        • NIH (Not Invented here) – The idea belongs to someone else, not the manager
      • Willingness to Let Go:
        • People who have moved up the ladder must not interfere in decisions of the subordinates.
        • Ex: Hiring secretary.
    • PERSONAL ATTITUDES TOWARD DELEGATION
      • Willingness to Allow Mistakes by Subordinates
      • Willingness to TRUST Subordinates
      • Willingness to Establish & Use broad Controls
    • Advantages of Decentralization
      • Relieves top management burden.
      • Encourages decision making and knowing the authority and responsiblities.
      • Gives managers more freedom and independence in decision making.
      • Promotes broad control .
      • Promotes development of general managers.
      • Aids in adaptation in fast-changing environment.
    • Limitations of Decentralization
      • Makes difficult to have a uniform policy.
      • Increase complexity of co-ordination .
      • May results in loss of some control by upper level managers.
      • Can be limited by the availability for qualified Managers.
      • Involves considerable expenses for training managers.
      • May not be favored by economical scale of organization.